The Delaware River Port Authority (DRPA) has received a $4.28 million payment from Dranoff Properties. The money represents repayment in full of principal and interest on a loan made in October 2002. The $3 million loan, made under the Authority's former economic development program that was formally terminated in 2011, was used for the rehabilitation of Camden's RCA "Nipper" building into the luxury apartments known as the Victor Lofts.
The money will be deposited into the Authority's General Fund, said James White, Chief Financial Officer of the DRPA.
In a related development, a $10 million loan guarantee made by the DRPA to the New Jersey Economic Development Authority (NJEDA) has also been discharged. The guarantee was originally issued in 2001, as part of an incentive package to retain L-3 Communications in Camden. In December, the NJEDA sold the building previously occupied by L-3 Communications to a private developer.
"Each of these transactions represents a significant step toward permanently concluding the Authority's involvement in economic development" said John Hanson, chief executive officer. "Our sole focus is our core mission - stewardship of important transportation services and facilities - namely our four bridges and PATCO."
As a result of a 2011 Board Resolution, the Authority is prohibited from making expenditures that are not directly related to its core business of operating, maintaining and improving transportation services and facilities.
